New York: US stocks dropped Tuesday, dragged by a noticeable pullback in the energy sector.
The Dow Jones Industrial Average decreased 390.51 points, or 1.59 percent, to 24,206.86. The S&P 500 fell 30.97 points, or 1.05 per cent, to 2,922.94. The Nasdaq Composite Index shed 49.72 points, or 0.54 pe rcent, to 9,185.10, Xinhua reported.
Shares of US energy giants Chevron and Exxon Mobil both slid more than 3 per cent, weighing on the market. The S&P 500 energy sector closed 2.89 per cent lower, the worst-performing group.
Shares of Home Depot fell nearly 3 percent after the US home improvement retailer reported first-quarter earnings that missed consensus estimate.
Walmart shares gave up earlier gains to close 2.12 per cent lower despite a better-than-anticipated quarterly profit.
Wall Street also digested testimony from US Federal Reserve Chairman Jerome Powell, which is part of required updates to Congress on economic response to the COVID-19 pandemic.
“The scope and speed of this downturn are without modern precedent and are significantly worse than any recession since World War II,” Powell said, adding “we are committed to using our full range of tools to support the economy in this challenging time.”
Tuesday’s market movement followed a massive rally in the previous session with the Dow closing up more than 900 points.